ORANGE COUNTY, CA--Nov. 2, 2012: Hyundai Motor America and Kia
Motors America today announced that, following discussions with the U.S.
Environmental Protection Agency (EPA), they are voluntarily adjusting the
fuel economy ratings for approximately 900,000, or 35 percent of, 2011-13
model year vehicles sold through October 31,
2012.

Procedural errors at the automakers' joint testing operations in Korea
led to incorrect fuel economy ratings for select vehicle lines. As part of
Hyundai/Kia's corrective actions, the fuel economy ratings for vehicles
currently in showrooms are being voluntarily relabeled. With these changes,
the 2012 Hyundai/Kia fleet fuel economy level is reduced by an average of 3
percent -- from 27 to 26 MPG.

"I sincerely apologize to all affected Hyundai and Kia customers, and I
regret these errors occurred," said Dr. W. C.
Yang, chief technology officer of Hyundai/Kia research and
development. "Following up on the EPA's audit results, we have taken
immediate action to make the necessary rating changes and process
corrections."

Both companies are putting in place a comprehensive reimbursement
program for affected current and former vehicle owners to cover the
additional fuel costs associated with the fuel economy rating change.
Customers will receive a personalized debit card that will reimburse them
for their difference in the EPA combined fuel economy rating, based on the
fuel price in their area and their own actual miles driven. In addition,
as an acknowledgment of the inconvenience this may cause, we will add an
extra 15 percent to the reimbursement amount. Current owners will be able
to refresh their debit card for as long as they own the vehicle. Prior
owners of affected vehicles who have already sold their cars will also be
reimbursed using the same formula. For more information about
reimbursement and a complete list of eligible vehicles, customers can visit
www.HyundaiMPGinfo.com and www.KiaMPGinfo.com.

The fuel economy rating discrepancies resulted from procedural errors
during a process called "coastdown" testing at the companies' joint testing
operations in Korea. Coastdown testing simulates aerodynamic drag, tire
rolling resistance and drivetrain frictional losses and provides the
technical data used to program the test dynamometers that generate EPA fuel
economy ratings. Affected vehicles and their before-and-after EPA
estimates are shown in the attachment.

Hyundai and Kia will continue to advance improvements in fuel efficiency
through technology and innovation, and continue to fully support the recent
rulemaking issued by EPA and the National Highway Traffic Safety
Administration.

"Given the importance of fuel efficiency to all of us, we're extremely
sorry about these errors," said John
Krafcik, president and CEO of Hyundai Motor America. "When we say
to Hyundai owners, 'We've got your back,' that's an assurance we don't take
lightly. We're going to make this right for everyone, and we'll be more
driven than ever to ensure our vehicles deliver outstanding fuel
economy."

"As a customer-focused organization, we are fully committed to providing
consumers with complete and accurate information, and deeply regret the
errors were made," said Byung Mo Ahn, group
president and CEO, Kia Motors America and Kia Motors Manufacturing Georgia.
"Our reimbursement program is intended to ensure that all affected Kia
customers quickly receive fair compensation."

HYUNDAI MOTOR AMERICA

Hyundai Motor America, headquartered in Costa
Mesa, Calif., is a subsidiary of Hyundai Motor Co. of Korea. Hyundai
vehicles are distributed throughout the United
States by Hyundai Motor America and are sold and serviced through
more than 800 dealerships nationwide. All Hyundai vehicles sold in the U.S.
are covered by the Hyundai Assurance program, which includes the
5-year/60,000-mile fully transferable new vehicle warranty, Hyundai's
10-year/100,000-mile powertrain warranty, and five years of complimentary
Roadside Assistance.

KIA MOTORS AMERICA

Kia Motors America is the marketing and distribution arm of Kia Motors
Corporation based in Seoul, South Korea.
KMA offers a complete line of vehicles through more than 755 dealers
throughout the United States and serves as
the "Official Automotive Partner" of the NBA and LPGA. In 2011, KMA
recorded its best-ever annual sales total and became one of the fastest
growing car companies1 in the U.S. Kia is poised to continue its
momentum and will continue to build the brand through design innovation,
quality, value, advanced safety features and new technologies.

1 Based on 5-year cumulative growth between 12-month retail sales
for periods ending September 2007 and September 2012 of all U.S. automotive brands.2
MSRP includes $775 destination and handling
fee, but not title, taxes, license, options and dealer charges. Actual
prices set by dealer and may vary.3 EPA fuel economy estimates 22
mpg/city and 34 mpg/hwy for 2013 Optima SX. Actual mileage will
vary.